AIM-quoted Max Property Group has bought a portfolio of bars for £9.4m.

The Nick Leslau run property investment company has bought 14 sites - 13 freehold and one leasehold. Ten of these properties are let to Atmosphere Bars and Clubs for a minimum term of 25 years, with a 15% increase in rent in 2015. One of the other four sites is let and the others are vacant.

Milton Keynes-based Atmosphere is backed by Sun Capital Partners Inc. The bars operator focuses on the 25 to 45 year old market. There are 31 sites, with 22 trading under the Chicago Rock Café brand. The rest trade under different names and it appears that most of the portfolio relates to this part of the business.

Prior to this purchase the portfolio was dominated by industrial properties with some exposure to the office market. The bars will be a small percentage of the total portfolio. Max was set up to be opportunistic in its acquisitions.

Last month, Max sold a High Wycombe industrial estate for £30.5m and this released £15.8m of cash after the repayment of debt. The property was sold at a profit on book value of just over 5%.

NAV, excluding minority interests, was 118.9p a share at the end of March 2010. The current share price is 109.25p.

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